Abstract

The applications of shopbots have changed the competitive dynamics in electronic markets, and affect the strategic choices of participants. In this paper, how strategic behaviors are implemented for consumers, retailers and electronic markets providers in shopbots markets is probed into. Analyses show, that even with the help of shopbots, consumer won't view price as the only decision factor fully, and consumers' search heterogeneity and personal preferences require that consumer would take price, brand and service quality into account when making shopping decision. Retailer can implement some strategies such as price discrimination and product differentiation to encounter price competition pressure brought in by shopbots. Finally, differentiation and unique product information presentation interface are the key in guaranteeing a sustainable competitive advantage of shopbots provider.

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